This document discusses different concepts related to management philosophy, including: - Management philosophy guides business policies and strategies through rational principles. - An organizational philosophy unites employees to focus on excellence through treating people right, not dictation. - Companies determine pricing strategies based on objectives like profit maximization or penetrating new markets through competitive pricing. - Examples are given of Apple focusing on high-end experiences over market share or costs, and Tata Harper Skincare prioritizing transparency and high-quality ingredients in determining prices.

2. What Is Management Philosophy?
• Management philosophy Is a kind of idea that is used to
articulate a person’s judgement on best management
exercise. Philosophy is the study of the original nature of
facts, reality and survival which is categorized under the
academic authority.

3. Organizational Philosophy
• An organization philosophy is glue that joins everyone in
an organization together so that they can all focus there
on the attainment of excellence. The key differentiator is
that a management philosophy is not a set of specific
business tasks or method subject to improvement. Instead
it is all about how people will be treated, not because
someone dictates it, but because that is the “right way ”.

4. Definition of Management Philosophy
• “Management philosophy is that set of rational principle
which form the basis for guiding or controlling the
operation or performance of a business activity”.

5. Management philosophy an export pricing
• A company or corporation is to achieve certain objectives
which guide business policies and strategies. This
objectives or motives also affect the pricing strategies to
be followed by a firm in the export market.

6. Profit Maximization
• Under certain circumstances, profit may be the chief
motive of the company in exporting the product. If, the
management is not keen on export as a policy measures, it
may set for itself the objectives of profit maximization. It
is such cases, unless export results in profits similar to
those earned in domestic markets, the company may not
be interested in export as a business .the pricing,
therefore, shall absorb the full cost depending upon the
level of production.

7. Plan To Meet Fierce Competition
• A company may plan to introduce its product in a
particular market. Export marketing offers a fierce
competition. Already established competitors may
have brand loyalty and established channels of
distribution and enjoy a good market share. In such
an environment, a new producer-exporter who
wants to introduce his product will make his product
more attractive so that it may generate a certain
amount of brand loyalty. For this purpose, the
easiest way to offer the product at a very
competitive price, perhaps at a price which is below
its cost price. The loss in such a market may be set
off against the profits in other export markets or an
domestic market.

8. To Adopt Penetrating Export Pricing
• A situation may also arise when the new entrant in an
export market adopts penetrating pricing strategy and
offers a very low price with a view to capture the market
through high pressure on sales campaign and lager price
discount policies. The existing well established exporting
firms may be forced to offer the matching discount in
prices to retain their share of the market and in order to
out to new entrant.

9. For Example
Apple
• On low-end devices, Apple CEO Tim Cook
told Bloomberg Business week in an interview last year,
“We never had an objective to sell a low-cost phone. Our
primary objective is to sell a great phone and provide a
great experience, and we figured out a way to do it at a
lower cost.”

10. • Steve Jobs, whose strategy for Apple had four pillars:
• Offer a small number of products.
• Focus on the high end
• Give priority to profits over market share
• Create a halo effect that makes people starve for new
Apple products

11. TATA HARPER SKINCARE
• “Transparency is important to us as a company and our goal
is to be open and honest with you, our customers and
friends”.
The primary factors that affect how they determine their
price:
• Unique R&D process
• Highest quality ingredients available
• High concentrations of natural actives
• Ecologically sustainable
• Economic viability

12. Presented by:
Harsh Jain
Kshama Jain
Thank you